← Remote Work Glossary

Vesting

The process by which an employee earns their equity gradually over time, rather than all at once.

Vesting spreads an equity grant across a schedule so you earn it by staying with the company. A classic schedule is four years with a one-year "cliff": you get nothing if you leave in the first year, then 25% vests, with the rest vesting monthly after that.

Understanding your vesting schedule matters when weighing an offer or deciding when to move on, since unvested equity is left behind if you leave.